Lithia Motors has completed a $1.0 billion five-year revolving syndicated credit facility with 13 institutions that will expire in December 2018. The facility can be expanded to $1.25 billion in total availability.

The revolving facility will provide $700 million for new vehicle inventory floorplan financing, $150 million for used vehicle inventory floorplan financing and $150 million for general corporate purposes including working capital and acquisitions.

Commenting on the transaction, Chris Holzshu, Senior Vice President and Chief Financial Officer, said, "The Lithia team would like to thank all of the participants for their support in completing the syndication. The new revolving facility expands our existing partnership with these banks and manufacturer-affiliated finance companies and is a testament to our deep and meaningful relationship with them."

Under the terms of the new agreement, Lithia notes that based on current borrowing levels pretax interest expense will be reduced by approximately $350,000 per quarter.

Lithia Motors, Inc. is the ninth largest automotive retailer in the United States. Lithia sells 28 brands of new and all brands of used vehicles at 94 stores in 11 states. Lithia also arranges finance, warranty, and credit insurance contracts; and provides vehicle parts, maintenance, and repair services at all of its locations.

Sue Bury, President & CEO of 1STWEST Background Due Diligence discusses the importance of "character" in executive candidates and how a candidate’s character can impact your search for the best leaders.